Rent increase or retain a reliable Sydney condo tenant?

[DirectCairn]

I’m now 80 days into reviewing the rent on my Sydney condo. The tenant pays about A$7,820, always pays on time, looks after the property and reports maintenance issues before they become expensive. Comparable asking rent appears close to A$8,394.

The A$574 gap is tempting, but vacancy, turnover and refurbishment could quickly consume it. Would you propose a modest increase below the asking level, or keep the rent unchanged to retain a good tenant? I also want to handle notice, timing and any deposit implications correctly under the local rules.

 

[rue.rain]

I’d lean toward a modest increase rather than chasing the full asking figure. First calculate how many rental periods it would take to recover even a short vacancy plus cleaning, advertising and repairs. Also, are those figures monthly, and what does the 80-day point relate to—the lease timing or how long you’ve monitored listings? Those details matter. Before writing to the tenant, verify the current agreement and NSW notice requirements.

 

[studyTheRoom]

I’d be more cautious: asking rent is not necessarily achieved rent. A reliable tenant who flags maintenance early has value beyond punctual payments, so A$574 is not automatically money being lost.

Use genuinely comparable condos and their condition, then decide on the smallest increase that materially helps you. Explain it calmly and give proper notice once you have confirmed the local rules. I wouldn’t bring the deposit into the negotiation; keep the rent review focused on rent and preserve the working relationship.